Amgen, Inc. (AMGN), Onyx Pharmaceuticals, Inc. (ONXX): Monday’s Best Stocks

Page 1 of 2

Although we don’t believe in timing the market or panicking over market movements, we do like to keep an eye on big changes — just in case they’re material to our investing thesis.

For the fourth-straight week it appears that the broad-based S&P 500 (SNPINDEX:^GSPC) is starting off on shaky ground. The culprits today appear to be weak U.S. economic data and a report from Dow Jones that has reignited U.S. debt-ceiling fears.

Amgen, Inc. (NASDAQ:AMGN)

While not often viewed as a huge report, the July U.S. durable-goods report (a measure of big purchase items like cars and appliances) was so bad — a drop of 7.3% from the previous month — that it certainly caught investors’ attention. To abate some of this negativity, a 52% drop in civilian aircraft orders was a big component to these weak results, but it still could point to weak third-quarter GDP growth if spending on big-ticket items is beginning to dry up.

The other concern came from Dow Jones, which reported that the U.S. Treasury will reach its current debt limit by mid-October. And we all know what that means, right? You bet: More Congressional bickering! The past few debt-limit crises have come down to the wire, with both parties kicking the can further down the road instead of working out a solution. This is one of those broad-topic issues that has the potential to affect all sectors if nothing is worked out.

By day’s end, the S&P 500 had digested all of this negative information and given up all of its gains, ending lower by 6.72 points (-0.40%) to close at 1,656.78.

As should come as no surprise, biotechnology giant Amgen, Inc. (NASDAQ:AMGN) led the S&P 500 higher, gaining 7.7% after announcing the $10.4 billion ($125/share) all-cash purchase of Onyx Pharmaceuticals, Inc. (NASDAQ:ONXX). With  Amgen, Inc. (NASDAQ:AMGN)’s pipeline aging, this deal gives it a fresh line of rapidly growing cancer-fighting compounds, including multiple myeloma drug Kyprolis, which could fetch $3 billion in annual sales at its peak. Based on my initial estimates that Onyx Pharmaceuticals, Inc. (NASDAQ:ONXX) could be worth as much as $145 a share, I think Amgen, Inc. (NASDAQ:AMGN) scored a nice value on Onyx Pharmaceuticals, Inc. (NASDAQ:ONXX) and would definitely suggest giving Amgen, Inc. (NASDAQ:AMGN) another look here even after its recent rally.

Logistics company C.H. Robinson Worldwide, Inc. (NASDAQ:CHRW), a new name to the best-performers list, added 2.9% today after announcing plans to increase its buyback authorization.

Page 1 of 2
blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

7 Most Expensive Cities in the World

5 Least Expensive Cities in the World

10 Celebrities Who Believe In Scientology

10 High Margin Food Products to Build a Business Around

The 10 Most Expensive Clothing Stores in the United States to Get Decked Out At

The 5 Biggest Kickstarter Scams That Swindled Backers’ Donations

The 10 Most Expensive Boarding Schools In the World

50 Crazy Facts About Japan You Won’t Believe

Top 10 Least Expensive Hybrid Cars to Save the Planet With

The 10 Biggest ‘Gate’ Controversies in History

The 10 States with the Highest Nursing Shortages Leaving Their Hospitals Depleted

The 10 Best Value Investment Blogs that Every Investor Must Read

The 6 Cheapest Boarding Schools in Europe 2015

The 5 Most Expensive Cars To Insure in the World

The 10 Most Common Genetically Modified Foods

10 Self-Made Billionaires Who Came From Nothing

The 10 Most Expensive Cities to Live in North America

The 13 Most Expensive Headphones in the World to Represent

The Top 20 Wealthiest Soccer Teams in 2014

4 BuzzWorthy Cannabis Stocks And Some Smoking Derivative Plays

The 10 Healthiest Fast Food Chains in America to Dine At

The 5 Most Expensive Cat Food Brands You Can Spoil Your Kitty With

The 6 Best eCommerce Platforms for Small Businesses

The 10 Worst Mistakes an Entrepreneur Can Make

The 5 Most OP Characters in League of Legends to Carry Games and Crush Foes With

The 5 Best Foods to Eat Before Running that Will Help You Pound the Pavement

10 Glaring Plot Holes in The Walking Dead that a Zombie-Filled Bus Could Drive Through

The 5 Biggest Celebrity Stoners Who Love Their Reefer

The 10 Most Overrated Movies Of All Time by Out-of-Touch Critics

Top 6 Least Expensive Cruise Destinations For 2015 that Will Take You to Paradise

10 States with Lowest Substance Abuse Rates in America

The 14 Most Watched TV Finales Ever

The 10 Best Selling Role Playing Games of All Time for PC

10 Most Influential Papers In Economics

Top 8 Biggest Charities in the US

10 Worst Celebrity Career Moves Ever

Top 10 Best Paid Tennis Stars in the World

Top 6 Cities For The Ultra Rich to Live in Comfort

10 Cities with High Demand for Nurses

6 of the Worst Greeting Card Messages Ever Crafted

How to Make Money in ArcheAge and Build Your Empire

10 Foods To Eat To Lower Cholesterol Levels

The 10 Most Hated Television Characters of All Time

The 30 Worst Halloween Costume Ideas Ever Brought to Horrible Life

10 Vocational Skills in Demand Today with Jobs Waiting to be Filled

10 Best Places to Visit in Central and South America

The 10 Greatest Empires in History Which Nearly Conquered the World

The 6 Cheapest Boarding Schools In America 2015

5 Clear Reasons LoL is Better than DotA, Continues to Rule MOBAs

The Only 9 Teams with a Chance to Win the Super Bowl

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!